Bank of America stops making private student loans

Bank of America joins Citigroup Inc., SLM Corp. and other lenders who are tightening loan criteria. The move is reported to be unprofitable due to rising borrowing costs, cuts in government subsidies for loans and a lack of investor.

The Charlotte, North Carolina-based bank will go on offering government-backed loans, which constituted more than 85 percent of its $6 billion in student lending last year.